Market Overview
Dollar Slumps After NFP Shock, Fed Cut Bets Escalate
Dollar tumbled sharply in early New York trading Friday after much weaker-than-expected non-farm payrolls report. 10-year Treasury yield plunging through the 4.1% level while Gold also surged to fresh record high.
Traders moved swiftly to reprice Fed expectations, with a 25bps cut this month fully baked in and fresh speculation...
Dollar Risks Not Symmetric: Weak NFP Could Trigger Bigger Move
The foreign exchange market remains largely range-bound as traders await today’s U.S. non-farm payrolls report. Recent labor indicators, including ISM employment components, point to downside risk for NFP. Both manufacturing and services sub-indexes remain in contractionary territory, while ADP payrolls growth slowed sharply in August. This suggests a soft...
Dollar Holds Firm as US Jobs Data Weaker But Not Disastrous
Today’s US job data pointed to a softer labor market but stopped short of signaling a collapse. The numbers reinforced the message that hiring is slowing, though not disastrously, giving the Fed justification to ease policy modestly without raising alarm over economic stability. Markets remain almost unanimous in pricing...
Cautious Tone Returns as ADP, ISM Set Stage for NFP
Markets adopted a cautious tone again today, as attention swung back to U.S. economic data. Today’s ADP private payrolls and ISM services figures are seen as key precursors to tomorrow’s highly anticipated nonfarm payrolls. The numbers are expected to sharpen the Fed’s rate-cut calculus, with traders reluctant to take...
Sterling Recovers Modestly, Global Yields Ease
Global markets steadied on today as benchmark treasury yields dipped modestly after this week’s sharp jump. The pullback in yields helped ease pressure on risk sentiment, with European stocks trading slightly higher while U.S. futures hovered near flat.
Sterling also managed a tentative rebound following its steep selloff yesterday. Although...
Global Risk Sentiment Hit by Sovereign Fears and Rising Yields; Dollar Firms as Yen, Sterling Lag
Asian equities traded lower today, tracking the decline on Wall Street overnight, as investors grappled with rising bond yields and renewed trade uncertainty. Even stronger-than-expected Chinese services PMI and robust Australian GDP data failed to lift sentiment, with risk aversion setting the tone across the region. Additionally, markets remain...
UK Long Bonds Lead Global Selloff, Sterling Slumps on Fiscal Worries
Global bond markets came under pressure in European session, led by a sharp selloff in long-dated UK gilts. Yield on UK 30-year surged past 5.65% to its highest in 27 years, breaking above the peak set in April. Investors are increasingly concerned that Prime Minister Keir Starmer’s government may...
Yen Weakens on Trade Stalemate, Doubts on BoJ’s Next Move
Yen dominated currency moves in an otherwise subdued Asian session, with broad-based selling gathering pace. After weeks of range-bound trading, the Japanese currency may finally be breaking lower, particularly in the crosses where momentum is building.
Trade uncertainty is a central factor. Japan is still waiting for a formal executive...
Euro Leads But French Politics Cap Gains, Dollar Mixed
Euro is leading the foreign exchange market today, staging a solid recovery from last week’s weakness. Investors are clearly positioning back into the single currency, but the rally has yet to find a convincing fundamental driver, leaving momentum somewhat constrained.
Political uncertainty in France is also serving as a cap...
Asian Markets Diverge, Dollar Weakens, Euro Rebounds Into Key Data-Heavy Week
Investor sentiment in Asia opened the week on a mixed note, with traders weighing better-than-expected Chinese manufacturing data against fresh signs of weakness in other export-driven economies. Hong Kong shares found support after the private RatingDog survey showed China’s manufacturing sector returning to mild expansion in August, offering some...
Breakout or Breakdown? Gold, Dollar, and China Rally to Shape Risk Into Year-End
The past week was anything but quiet for global markets, even if headline price moves in currencies looked muted. Beneath the surface, three powerful narratives are colliding: political turmoil in the U.S. that threatens the independence of its central bank, a legal battle that could reshape global trade policy,...
Canada GDP Miss Sends Loonie Lower, BoC Rate Cut Bets Rise
Canadian Dollar came under pressure in early U.S. session after GDP data revealed a deeper slowdown than markets had anticipated. Canada’s economy contracted -0.4% qoq in Q2, marking its first quarterly decline in seven quarters. More concerning was June’s monthly contraction, which signaled that the weakness might carry on...
Aussie Tops FX as China Rally Lifts Mood, Dollar Awaits PCE Data
Aussie and Kiwi are the top performers in FX trading on today so far, supported by the continued surge in Chinese equities. With the local market on course for its biggest monthly rise in nearly a year, risk sentiment spilled into regional currencies, giving both Australian and New Zealand...
Dollar Slips on Month-End Flows, Yuan Jumps to 9-Month High
Dollar weakened broadly today, though without a clear catalyst. Month-end flows are likely in play, while traders turned cautious ahead of what is expected to be a volatile September. With key U.S. releases looming, positioning appears lighter as investors await more decisive signals. Beyond tomorrow's US PCE data, the...
Dollar Softens, Yen Leads as Markets Eye ECB Minutes
U.S. equities closed higher overnight, but Asian markets turned mixed on Thursday as risk sentiment remained muted. Nvidia’s stronger-than-expected earnings beat on both revenue and profit dominated headlines but failed to deliver a sustained boost to risk appetite.
In currency markets, Dollar softened as this week’s rebound lost steam. Overall...
Dollar Holds Firm in Quiet Trade, EU Moves to Accelerate Tariff Cuts
Dollar firmed again today in what remains a subdued week for markets, with no top-tier European economic data releases so far and little central bank commentary on the docket. The summer lull has left trading ranges tight, and with nothing scheduled during the US session, conditions are expected to...
Fed’s Cook Prepares Lawsuit, India Tariffs Kick in, Markets Quiet
Currency markets were largely subdued in Asian session, with majors holding tight ranges despite some volatility in equities. U.S. stocks attempted a rebound overnight but momentum was weak, while Asian bourses traded softer. The absence of major economic data left political and policy headlines to set the tone.
At the...
French Politics Weighs on Euro, But Selling Fails to Gain Momentum
Currency markets stayed quiet overall, even though French politics briefly unsettled sentiment. French stocks dropped sharply as Prime Minister Francois Bayrou’s government looked increasingly at risk ahead of a September 8 confidence vote on his proposed budget cuts. Euro softened in response, though losses were limited.
Bayrou’s chances of survival...
Fed Drama and Fresh Tariff Threats Sour Risk Mood
Markets turned risk-averse again overnight, with Wall Street weakness spilling into Asia as political and trade developments rattled sentiment. Expectations that the Fed will cut rates in September remain intact, but investors are struggling to look past threats to central bank independence and a fresh wave of tariff risks.
The...
Global Markets Cool as Fed Boost Fades, Caution Dominates Late August Trade
Global market sentiment has cooled to start the week, with major European indexes trading mildly lower alongside softer U.S. futures. The lift from Fed Chair Jerome Powell’s dovish pivot appears to have run its course for now, leaving investors more hesitant during the final days of August.
While some profit-taking...